Despite stiff competition from its Asian neighbors, the country is still preferred as the best site to put up business by Taiwanese firms mainly due to cheap land and labor costs, Manila Economic and Cultural Office (Meco) managing director and resident representative Antonio Basilio said.

He said Taiwanese investor confidence has grown, given the positive experiences of 190 Taiwanese companies successfully operating in local special export processing zones such as Acer, Orient Semiconductor and Liteon.

Meco director for commercial affairs Dita Angara-Mathay said Taiwanese investors enter the country because of its cost-effective labor, English proficiency and stable regulatory environment.

“Our laws are transparent, and costs in industrial and economic zones are fixed. Our incentives package is quite competitive, and we offer duty-free importation of raw materials and capital equipment, VAT (value added tax) exemption for imported components,” she said